Job hunting is horrible - even when it goes well there's a lot of rejection...! I've been in that situation, and it's depressing to feel that you'll never even get a chance... But, I therefore know from experience it is possible to get a job, even when you don't think you ever will.
Is there anyone you can ask for feedback about your applications? There was one time we nearly didn't interview someone because their CV didn't show some key experience, but we had so few candidates we invited him in anyway - it turned out at interview he was a fantastic candidate and has been a brilliant employee. But his CV didn't do him justice - perhaps getting someone in the sector you're applying for jobs in could help you fine tune yours? Sometimes you just need a few bits of jargon thrown in...
Also, I don't know what sort of jobs you're applying for, so this might not apply, but perhaps you're applying for too many?! It's time consuming to tailor your CV/application to each job, but that makes a real difference. If you have/can get info about the job (job description/person specification) make sure your application shows your experience/skills in all the key areas.
Have you considered voluntary work? Constructive, builds skills, and just as importantly builds contacts, my first paid work came through some voluntary work I was doing. And helps prevent boredom, make friends, feel good about yourself etc. Most places needing volunteers understand that you will also be job hunting - just agree with them up front about how much notice they'd need if you get a paid job.
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